U.S. & World
U.S. & World

How to Get a Short Term Capital

By on March 14, 2013

Sometimes in life you come across a situation where you suddenly need cash now. In this article we will go over on how to get a Short Term Capital.

Personal Finance

Whether its for a medical emergency, business needs or any other unexpected expense these tips should help you get short term capital quickly.

Take out a loan using your car as collateral

Taking out a loan on your car is not much differently from taking out a loan on your house. Most local credit unions as well as some banks offer this service at decent annual percentage rates. Most credit unions use the NADA book value of a car to find out how much credit they can extend to you. If you want to get an estimate on how much money a credit union is likely to lend you for using your car as collateral the NADA website might be a good place to start.

Payment Advance

If your job is stable another solution to getting short term capital might be to get a payment advance. I don’t really recommend this though as the annual percentage rates can be as high as 200% of what you borrowed. Most credit unions will offer this service however I would only advice its use on extreme emergencies and only if you know you’ll be able to pay it back quickly.

Mortgage on your home

Perhaps the most obvious way to get short term capital at great interest rates if you own a home is to tap into your home’s equity. While I am not trying to sound like one of those infomercials preceding the mortgage crisis this is perhaps the best way to get short term capital to fund unexpected expenses. If the reason why you need short term capital is to fix or remodel your home then by far this method would give you the best return on investment (you’re adding value to your home).

Ask friends and family

Perhaps the best people to help you when you’re in a rut are your friends and family. While not the best place to go to for a large chunk of cash every little bit helps. If you need urgent short term capital then this would be a good way to leverage a payment advance since your friends will likely lend you money at 0% interest or at least a much lower rate than 200%